Arizona Tax Credit

Apply your $400 Education Tax Credit to Legacy!

Yearly, Arizona allows all residents to donate up to $400 to a local public school (including charter schools) and receive a dollar-for-dollar tax credit. Anyone who lives in Arizona can donate to a child’s school – not just parents, but grandparents, aunts, uncles, even neighbors – as long as they have at least a $400 Arizona tax bill.

Donations made to Legacy Traditional Schools help fund our educational field trips and offset the cost to produce concerts, art shows, spelling bees, and science fairs.

Contributions made now through April 15, 2019 can be applied to your 2018 Arizona Income Tax bill.

*The IRS has recently published proposed regulations that will reduce the charitable contribution deduction by any amount allowed for an Arizona charitable credit. The proposed regulations are effective for contributions made after August 27, 2018.

Make a contribution to your child’s school:

Frequently Asked Questions

When do I need to make my donation by? For the 2018 tax year, donations can be made up until April 15, 2019, and applied to your 2018 tax bill.

What is the difference between a tax deduction and a tax credit? A tax deduction lowers the amount of your taxable income while a tax credit lowers the amount of taxes you owe.

How does a tax credit work? In 2018, if you had a $1,000 Arizona tax bill, by donating $400 to your child’s school, your tax bill would be lowered to just $600.

Can only parents take advantage of Arizona’s Education Tax Credit? No – any Arizona resident may donate to a school and take advantage of the tax credit. Grandparents, aunts, uncles, even neighbors can donate and receive a tax credit, as long as they have an Arizona Income Tax liability.

How large is the tax credit? Couples filing jointly can receive a $400 tax credit for a $400 donation. Single and Head of Household filers can receive a $200 tax credit for a $200 donation.

Does an entire donation have to be given to just one school? No. Your donation can be applied to multiple schools. For example, if you have two children, one whom attends a Legacy school and the other attends a local high school, a $200 donation could be made to each school for a total of $400.

How do I know if I will have a 2018 Arizona tax liability?

Single individuals have a $200 Arizona tax liability if they have earned roughly $15,000.

Head of Household filers (single with dependents) have a $200 Arizona tax liability if they have earned roughly $22,100 and have one dependent.

Married couples filing jointly have a $400 Arizona tax liability if they have earned roughly $30,000 and have no dependents.

Married couples filing jointly have a $400 Arizona tax liability if they have earned roughly $34,250 and have one dependent.

Where can I find more information on Arizona’s Education Tax Credit? Details on Arizona’s School Tax Credits are available here in Pub 707 created by the Arizona Department of Revenue.